How to Dropship on eBay As A Complete Beginner in 2021 (Step-by-Step)!

drop shipping is such an amazing opportunity for new entrepreneurs because it allows you to create a pretty passive stream of income without a huge upfront investment from anywhere in the world but what worked two years ago or even at the start of 2020 just doesn't work anymore so in this video i'm going to show you what actually works in 2021 and beyond when it comes to ebay drop shipping and how you can get started with just a laptop and an internet connection up everyone paul here from dropshippingtitans. com where i teach regular people just like you how to start your first successful drop shipping store so before we can get into the strategies that work for ebay drop shipping i first want to quickly explain what ebay drop shipping is and the model that we use to see success so what is ebay drop shipping it's a pretty simple business model first we have a customer here and she is on ebay shopping for items and she'll spend a hundred dollars on an item that you list it up for sale that's you right there now once she purchases the item from you then you turn around and spend a portion of that money buying the item from your supplier and then supplier ships the item directly to the customer so this means that you hold no inventory all the inventory is held by the supplier and you don't buy any items until your customer buys the item from you first so you do this once and then you do this again and again and again and that's the basic model of ebay drop

shipping so the first thing that you're going to need to start selling on ebay is an ebay account duh so just come over to ebay. com and click on the top left where it says register and the cool thing about this is that ebay is free for free so you don't have to pay for anything here now why do we use ebay there are plenty of other places to sell online places like amazon walmart bonanza etsy why ebay well ebay is pretty much the easiest place for beginners to get started they have a very low barrier to entry meaning they don't require a lot in order for you to set up an ebay account and other sites like amazon require a lot more in addition to that they have less strict metrics than you'll find on websites like amazon now that doesn't mean that you can just go in there and make a complete mess of things but it does mean that you can mess up a little bit and they're not going to ban you right away they give you some wiggle room to play with so that you know you run into some issues it's okay it's not going to totally tank your account so whenever people ask me what they should start with as a new seller i always recommend ebay it's a lot more forgiving and a lot more beginner friendly now the second thing that you might need is a paypal account now paypal is also free for free so you don't have to worry about that but you will find that most people eventually are not going to need paypal accounts because ebay is getting rid of paypal if during the ebay setup process ebay asks you to link up with your bank account then that means you're on ebay's managed payments that's their payment processor and you don't need a paypal account but if you didn't link up with your bank account during the setup with ebay then yeah you got to sign up for a paypal account like i said it is free so not a big deal there all right now

that you have your account set up you have to start looking for items but before you can do that you have to figure out what suppliers you want to use for your business now there are primarily two types of suppliers we use for ebay drop shipping we use retail suppliers and we use wholesale suppliers what's the difference well retail suppliers are other retail websites like walmart. com homedepot. com costco costway sam's club pretty much any website where you can buy things from as a consumer you can potentially drop ship from that website onto ebay now wholesale suppliers on the other hand usually don't have a retail website where you can buy items from as a consumer so if you think about the chain of production we have a manufacturer they then sell their items to a distributor or wholesale supplier and then the wholesale supplier sells it to a retail store and then the retail store sells it to the general public we as drop shippers if you're doing retail drop shipping you fall between the retail store and the consumer you fall right in there but if you're doing wholesale drop shipping you are buying directly from the wholesale supplier so above the retail stores so what are the pros and cons of each well retail drop shipping has a huge benefit because it's been going on for so long that we have a lot of software that we use to automate it's very easy to automate it using the software so everything from listing the items to repricing them to restocking them can be done without any manual work on our part but there are some benefits to wholesale primarily that it's a little bit harder so there's less competition less people doing it and the margins are better because we're going up higher in the chain of production see every step through that chain of production the item becomes more and more expensive so if you can buy it directly from a wholesale supplier then you're going to get better prices now the drawback of wholesale is that it is a little bit harder to set up with retail it's very simple but with wholesale you got to get agreements with wholesale suppliers you have to reach out to them and that's a higher barrier to entry but that does mean less people are doing it and less competition the other benefit of wholesale is that it's completely 100 allowed by ebay whereas with retail drop shipping technically the rule states that you're not allowed to do it now what happens if you do retail drop shipping well we found that ebay doesn't ban you for doing it they don't kick you out all they do is take those retail drop shipping listings and lower them in the search results but they're doing that for everyone who's selling the same items and because retail drop shipping is so easy to automate and scale up it kind of almost doesn't make a difference plus there are ways to avoid ebay from even knowing that you're doing it in the first place so you might be asking yourself now paul well which one do i do retail drop shipping or do i do wholesale drop shipping no i do both because both work so i'm not going to tell you one is better than the other but if you want to be super safe avoid any sort of issues if that's what you're paranoid about then go with wholesale because we know for 100 certainty that it is allowed and if you want to create a second account and do retail in that account yeah you could do that and you're going to see results with that as well but for the rest of this video i'm going to show wholesale because i want to show kind of what the future kind of looks like with ebay drop shipping so now that i've

decided to drop ship using wholesale suppliers the question is what supplier should i use and where do i find them well the first place to look is just come over to google so you can type in the niche that you want to sell in like pets here and then just the words wholesale suppliers and go through all these results you're looking for a supplier that allows you to drop ship sell on a marketplace like ebay and there's a few other criteria that we look for but those are the very basics that we need so you can just go through all these websites and click around look at their faq look at their policies and see if they allow you to do that and you'll have to go through pages of this and this does take time but it does work you do find suppliers using this method now another great resource to go to is inventorysource. com now inventory source is a software that will automate the process of drop shipping from wholesale suppliers onto ebay but paul i thought you said before that there was no software that does that you're right that is what i said and the reason i said that is because i don't use this software because it is pretty expensive to use so when it comes to wholesale drop shipping i actually do everything manually which i'll show you in a few minutes but the great thing is that you can sign up for inventory source for free and just look at the list of suppliers that they have and it's no cost to do that and a lot of these suppliers will be bad but a lot of them will be really good and we know they're going to be good because they are integrated with inventory source for a reason someone requested for them to be integrated and someone requested that because it is a supplier that they successfully use so you can just go through all these and find a supplier that meets a criteria this is one that i've used before and have seen that they are really great for drop shipping on

ebay so once you pick a supplier the next thing you have to do is some product research i'm not going to get into that in this video because i spend a lot of time on that in a lot of other videos i've made on youtube which i'll link up at the end of the video but once you find an item let's say it's this die flag right here let's actually show you how to list that item onto ebay so all i'm going to do is come over to ebay and start a new listing and the first thing i like to do is copy down the title and paste it in here and sometimes they will give you a result that might be helpful but i don't see anything here so i'm just going to start from scratch here so the title they give me from the supplier is usually pretty bad i want to make a better title than that so what do they have here this is a matte series flagpole 36 inch with die flag now that's a terrible type i want to start out by saying this is a dive flag right and then i could throw in the words like matt 36 inches and i could maybe throw in the word scuba and what else can i put in about this let me find out more about this diving red safety so i want to put in words there that people actually be searching for so people would search for the word die flex scuba diving safety flag different things like that to put on there because everything the original title is not something that people would search for and i might spend a lot a few more minutes on that too to make that look a little bit nicer now for the category this one they usually recommend a good one so we have sporting goods water sports scuba and snorkeling flags and markers so i'll select that one that also gives me a little bit of a clue there that word marker i'll put in there as well safety matte markers and markers isn't referring to drawing that refers to like a safety buoy marker kind of thing so now we need like a upc code and the condition a condition would just be new we only sell new items the upc a lot of times you can get directly from here or if there's not one there's a sku number but i don't see a upc so i'll put in does not apply so now we need some photos for this so sometimes these suppliers will only give you one sometimes they'll give you multiple suppliers so in this case you only give me one photo so i'll save this one image as die flag and i'll go ahead and add that one photo and while that uploads we'll keep going here so now it asks for the brand name and the manufacturing part number is same thing as a model number come over here let's open this back up let's see if they have an npn here it is right here copy that and does it have a brand manufacturer's m-a-t-e series okay so that's the brand so i'll plug that in for the npn type in m-a-t-e series the model number i'll put in the same number there's no custom bundle there's no modified country where was it made does it tell me that i don't see that information here so leave that one blank the more information you can fill in the better uh there's no prop 65 warning here either so now i'll copy down all this information that they give you and i'll plug that in to here that's the description if this item starts to sell well then i'll actually come in here and make this description even better but for now that's all i'm going to include now for pricing i always choose fixed price i don't do auctions and you can do start my listing when i submit them let's skip the price for now and let's come down to here to best offer i don't use best offers if you use best offer that will allow people to send you an offer that's less than the price that you listed it for i don't like doing that i set it at price that's what i'm going to sell it for so i don't do that and the quantity i always set it one to start now i always check off where it says charge sales tax according to the sales tax table now let's actually figure out the price of this item so if i come on here it will tell me what the whole sale price is of the items between 37. 26 and 43. 84 once you actually sign up and create an account you'll be able to see how much exactly it's going to cost you i mean set up an account with the supplier that is and the msrp price that's how much it usually will sell for so most people are going to be selling this for 67. 99 but the minimum you're allowed to sell it for is the map that's a minimum advertised price so i can't sell it for anything less than 60. 99 so let's pull out an ebay fee calculator and figure out if we can sell it for the minimum price so we can be as competitive as possible so let's assume it's going to cost us 43 dollars and 84 cents so i'm going to pull in this calculator and i'm going to put in here 43 dollars and 84 cents now it also wants how much is going to cost me to ship the item so when you work with your supplier you'll know how much it's going to cost you'll be able to talk with them and know how much on average it's going to cost to ship the item so i'll plug that in shipping charge i always do free shipping to all my items so this is the amount charged to the buyer that's zero and then the sold price is 60. 99 that's how much we're selling it for in ebay and in this case it's the map when 60. 99 now coming down here i have an ebay store which is a subscription you can pay for to lower your fees so i check that one off not top rated but i do have managed payments i'll check that one off and i'm not using promoted listings here so this tells me my profit with this is three dollars and 68 cents all right it's something it's not great so what i would do is actually i would list it for this price and if it starts to sell then i would raise the price because once you see items start to sell on ebay other customers become more comfortable buying that item and will continue to purchase it even if the price raises so we will keep it at a lower prices start and then raise it as time goes on so we'll start out with this price because we know there's profit there then we'll raise it later so we will enter in 60. 99 right let's come down to the shipping details section so i've already set up my business policies so i will select the default ones which apply but a lot of times what you'll have to do with new suppliers is create new policies for them depending on primarily the shipping and the return policy because some of them might have longer shipping times shorter have different rules with returns as well so if your rules differ for your new supplier you want to create a new business policy for them and make sure that it matches up according to what your supplier offers coming down a little bit further do you want to use promoted listings i'm not going to do that at this time that's an option though and then once you're ready just click list item down at the bottom and boom you have an item live on your ebay store so obviously there's a lot more that goes into ebay drop shipping that i wasn't able to cover in this short youtube video everything from exactly how to set up your ebay account to how to find items to dropship that are pretty much guaranteed to sell and how to automate the process as well so if you want a really comprehensive guide i do have a course that teaches how to do it relatively inexpensive for everything that it offers and it's the only course out there that's a to z and offers you the opportunity to learn both about retail drop shipping and wholesale drop shipping so if you're not sure which one you want to do you can just sign up and decide later so i will have that course linked up in the description of this video click on it and check it out if you want to see more about the course now if you're still concerned about whether drop shipping is allowed whether you're going to get banned for it flagged for doing it then you definitely need to check out this video right here in that video i explained exactly what you need to do to avoid getting banned while doing drop shipping on ebay so click on that video and i'll see you there in just a few seconds